The newsletter discusses the rising COVID cases in India during April 2021 and the resulting volatility in the stock market. It provides analysis of key market indicators like foreign and domestic institutional investments. It also features an inspiring case story of Ramesh, who started systematic investment of Rs. 25,000 per month at age 27 and now has a mutual fund portfolio worth Rs. 82 lacs through the power of compound interest and discipline. The newsletter recommends dynamic asset allocation funds to help navigate market volatility.

1. In the Current Scenario of COVID Crisis,
this newsletter issue is quite important
for our readers.
In this issue, we have covered their key
concern related to market's reaction on
rising number of COVID cases. We have
also added a featured article on 'Volatility
Management'
As always, we have added a case story this
month, which is going to be very inspiring
and informative for all our readers.
I wish you all , the best of health. Please stay
safe and take care of your family and
yourself.
Happy reading !
EDITORIAL
PAGE 1
A monthly Newsletter on Investing & Personal Finance
EMUTUAL KNOWLEDGE CENTER
Issue : April 2021
Binod Shukla
Managing Director - Emutual Fund

2. Binod Shukla, Managing Director
Emutual Fund
He is an AMFI registered MF Distributor
providing the seamless investment
platform to all the MF investors; we also
provide the complete hand holding,
incidental advice and investment
motivation to the aspiring investors ,
whenever required.
He possess vast experience in this
Mutual Funds and Financial Services.
Besides Mutual Funds, he also provide
referral services and transactional support
in other financial products like- Insurance,
Taxation etc
Visit www.shiprafinance.com or call us
freely to explore more about him and his
company
Facebook/ShipraFinance
FOLLOW US :
+91-99115-81705
CALL US :
info@shiprafinance.com
E MAIL US :
2453, Chhipi Wara, near gate No
-5, near Radha Krishan Mandir,
Chawri Bazar, Chandni Chowk,
Delhi, 110006
VISIT US :
PAGE 1

3. CASE STORY OF RAMESH, 37 YRS,
WHO STARTED INVESTMENT HABIT
AT THE AGE OF 27 ONLY
We saw a sharp rise in the COVID cases during the month of April 2021.
Ofcourse , it was a panic button for Stock Market. As you know Stock Market
always behaves on perception and it reacts in advance. Like, if market
assumes that the death numbers will be higher , it will react negatively; if it
assumes that recovery rates will be higher, then it will not react so negatively.
Besides, every body knows that 'Fear of Health' consequently gets converted
into 'Fear of Wealth'. Read this special article to guess the pulse of Market in
current situation.
READING THE MARKET PULSE
DURING THIS COVID CRISIS
WHAT IS FUND OF FUND ( FOF)
SCHEMES ? IS IT GOOD FOR ASSET
ALLOCATION ?
IN THIS ISSUE
Chapter 1 : Rising COVID cases is a concern !
WWW.SHIPRAFINANCE.COM PAGE 2

4. All Key indices, like NIFTY , SENSEX etc were highly
volatile during the whole month, reflecting the mixed
reaction by investor's - some thought that rising case will
peak out in few days then will be good for everybody ; and
some thought that the rising number of cases will increase
the death numbers , which will increase the fear of worst !
Experts believe that business will certainly get hampered and
economy may get a hit, but the phenomenon will not be
much longer. The spread is so fast , that they assume a peak
out within next 30-45 days. Market's number also endorses
this assumption, because it is not slipping one way ! Over all
Indices like- NIFTY and SENSEX, in the month of APRIL,
ended almost at the same place where it started
But one thing was very remarkable- we saw
FIIs ( Foreign Institutional Investors) as a
seller but DI I(Domestic Institutional
Investors) as a buyer in this whole
volatility. FIIs were a net seller of Rs
12,039.43 , while DIIs were a net buyer of
Rs 11,359.88 in the month of APRIL . What
does this indicate ?
That locally, we have not lost any faith in
our country and we that we can manage
this panic soon. However foreigners are
not too sure about the Indian health
management and crisis management
system.
On the performance front, one should see
the chart given below :
Month of APRIL was a highly
volatile month for Equity
Market...
As you can see in the above chart , Gold
has got its lost shine and Pharma is on
top of the chart. This is quite obvious
when there is fear around. One should
not shuffle their portfolio in short term ,
rather focus on your diversified portfolio
in Equities and must invest your safer
funds through 'ASSET ALLOCATION
FUNDS'
APRIL 2021
PAGE 3
WWW.SHIPRAFINANCE.COM

5. Chapter 2 : Key Market Indicators
( As on 30th April 2021)
..contd

6. Key Market Indicators ...contd
( As on 30th April 2021)
..contd

7. Key Market Indicators ...contd
( As on 30th April 2021)

8. Albert Einstein famously said that compound
interest is the most powerful force in the universe.
He said, “Compound interest is the 8th wonder of
the world. He who understands it, earns it; he who
doesn't, pays it.”
Ramesh, 37 Yrs, is proud to learn this in his young
stage of life. He says - ' thanks to Binod Ji, that he
taught me this simple yet so powerful trick of wealth
creation" . Today , at his young age of 37 years,
Ramesh is having a Mutual Fund portfolio of around
Rs 82 Lacs. He humbly accepts the fact that he
would have never created so much of wealth if he
would not learn about the magic of 'Compound
Interest'
First of all let me explain you the Power of
Compound Interest and how it applies in Mutual
Funds ?
When you get interest over interest, it is called
compounding. The issuers can provide you options
Chapter 3 : Case Story
How Ramesh' early start gave him mileage
to choose your compounding interval - Daily,
Weekly, Monthly, Quarterly etc. Best is the daily
compounding, if available.
In Mutual Funds, your valuation is reset everyday
by way of NAV ( Daily Unit Price). So in a way,
Mutual Funds provide you daily compounding.
When Ramesh learnt this trick in his early age of 27
years, he focused on only one thing - - accumulating
more and more units to earn higher profit in the
portfolio. And that's why he chose - SIP ( Systematic
Investment Plan ) to invest his monthly savings of
Rs 25K. Today he has accumulated close to 8000
units in his portfolio; imagine, a rise of Re 1 a day
will give him growth of Rs 80000/- ( approx)
WWW.SHIPRAFINANCE.COM

9. As you can see in the picture, the ball
multiplies in its size faster once it becomes
bigger in size. On the same principal, SIP
works better , once your total unit becomes
bigger. So keep investing regularly in your
selected Equity MF Scheme and target to
accumulate as many units as you can . Do
not look at the ROI in initial phase of your
SIP , because that might mislead you in your
actual target of unit accumulation.
Call us freely at our given numbers or E
mail, to set up the right SIP for you.
Remember, you can start the monthly SIP
in Mutual Funds , for as low as Rs 1000/-
He was regular and disciplined during last 10 years of
investment process ; he started with Rs 25000 per
month through SIP
He stuck to stable and well diversified Equity funds
and never shuffled it during bad or good times in the
market. This gave him the advantage of average cost
So what is so inspirng about his story ? And what is the
learning here ?
1.
2.
"SIP works on the principal of
Snowball theory. As the ball
travels it become bigger and
bigger "
WWW.SHIPRAFINANCE.COM

10. We have often heard of the risks of investing in
equity markets, whether directly in stocks or
through mutual funds; but huge volatility in past
few years, have taught investors the risks of not
investing in equities and a high level of regret. If you
don't invest in equity, you feel missed out at times
and when you have invested in equity , you may feel
trapped at times
So what to do ? How can you get stability in your
investments ?
As a financial product distributor, we are suppose to
take a tactical calls but more importantly
strategically ensuring that the asset allocation to
equity is aligned to your goals as well as your risk
profile. We do not get in or get out of the market
fully, and hand hold the investor to staying within
the boundaries so that he benefits from the upside of
markets, as also does not take undue risks. Like ,
you can imagine, doing such things in last year was
almost impossible
APRIL 2021
Chapter 4 : How to ride the volatility for better gain ?
So here comes the solution : Dynamic Asset
Allocation Fund or popularly known as ' Dynamic
Asset Allocation Fund'
As the name suggests, these funds automatically
adjust the level of equity in line with the markets –
as the Sensex levels go up, their allocation to equity
comes down; and as the market gets cheaper, they
increase their equity allocation. The category of fund
is not without risk since it will always have some
equity allocation. Considering the fact that markets
may remain volatile over the next six months or so,
and opportunities to invest may exist during that
time as well, this is a good category to invest in.
During the tumultuous 2020, these funds increased
their allocation to equity to nearly 90% during the
end of March and have steadily been bringing down
the allocation during the sharp rally in the last
quarter of 2020 . Let us see the list of some of the top
performing Dynamic Asset Allocation funds,
wherein fund managers has done full justice to the
schemes objective and provided a peace of mind to
investors
WWW.SHIPRAFINANCE.COM

11. India's Top
'Dynamic Asset Allocation Funds'

12. Q.Which are the top 2 SIPS you will recommend
me ?
A. We always ask our customer to go for a product
suitability test before selecting a scheme. However,
one should choose among Equity scheme only. And
under an Equity scheme, you should go for a well
diversified multi-cap category for getting the mix of
all.
Q. What can I accumulate as a wealth in next 15
years, if I start an SIP of Rs 5000/- per month
from today ?
A. Remember, a SIP of Rs 5000/- can take you to
level depending upon the overall ROI in the scheme.
Still I am giving you a projection chart based upon
the past performances of Indian Equity Funds :
Q. How can I invest in international stocks like
facebook etc
A. Investing in international stocks is very easy , by
way of Mutual Funds. There many mutual fund
schemes available in the name of International
Fund, which are technically the FOF ( Fund of Fund)
. These schemes collect money from you in India
and invest in their International basket in US and
other countries.
Before investing in any international funds you
should be clear about its objective , like- is ot
NASDAQ based or S7P based or FANG ( Facebook,
Apple, Netflix or Google) based...etc ? Such funds are
good for investments if your outlook for dollor is
positive or you want to chase some big giant stocks
which are not available in India
APRIL 2021

13. Mutual Fund investments are subject to market risks, read all scheme
related documents carefully. The NAVs of the schemes may go up or
down depending upon the factors and forces affecting the securities
market including the fluctuations in the interest rates. The past
performance of the mutual funds is not necessarily indicative of
future performance of the schemes. The Mutual Fund is not
guaranteeing or assuring any dividend under any of the schemes
and the same is subject to the availability and adequacy of
distributable surplus. Investors are requested to review the
prospectus carefully and obtain expert professional advice with
regard to specific legal, tax and financial implications of the
investment/participation in the scheme.
While all efforts have been taken to make this newsletter as authentic
as possible, please refer to the print versions, notified Gazette copies
of Acts/Rules/Regulations for authentic version or for use before any
authority. We will not be responsible for any loss to any person/entity
caused by any short-coming, defect or inaccuracy inadvertently or
otherwise copied in this newsletter from external sources.
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